Gold Trading a Good Bit Higher

As you can see from the www.Kitco.com graph, gold is performing much better during the last 24 hours. It is now at $812.40 and moving upward at this moment. Perhaps, most of the manipulation for the time being has subsided. Time will give us the true short term direction, but long term, it is still upward.

The mining stocks are responding to the halting of the downward spiral of the precious metals in this correction. Almost all are up: AGXM 1.20; CDY 1.91; CEF 10.75 (invested in bullion); DROOY 9.19; EGO 5.86; GDX 49.17 (ETF in miners); GFI 18.62; GSS 3.35; HMY 10.86; IAG 9.30; KGC 18.35; KRY 2.98; MRB 5.32; NEM 52.07; PAAS 35.28; SSRI 41.60; XRA 5.00.

I bought IAGLU (Call options on IAG for Dec 07 @ 7.50) for $1.80; GRXCU (Call options on GDX (ETF on major minors) for Dec 07 @ 47) for $5.75. Remember options are a bit more risky than the action shares, but do offer leverage (the ability to control a valuable asset with minimum cash investment).

Gold has a long way to go to best the previous high of 1980. It must break through and hold for a period above $850. Perhaps, this will be the next record broken on the coming upward surge. Again, we must wait and see what the Lord Jesus has in mind for the markets. He really moved the general market up yesterday.

Trusting in Him, I am content to wait for the results He has planned.

Best to each, Doug